Before asking the question, let me thank all the expert here as You all are doing great job.<\/p>\n
My questions are as under:<\/p>\n
1) one of the condition for exclusion as per section 9(a)(iii) is “relating to any undisclosed income from a source located outside
\nIndia or undisclosed asset located outside India”<\/p>\n
Now if a private limited company has received share capital from a party based in country out side India. Such share capital has been added u\/s 68 of the Act as income of the assessee vide order passed u\/s 143(3). Can department say that such share capital is undisclosed income of the assessee from the country outside India; hence, not eligible for the VSV scheme.<\/p>\n
2) For exclusion from the sheme there are two instances given for prosecution “instituted” and prosecution “Initiated” which are reproduced below:<\/p>\n
Section 9(a)(ii): “relating to an assessment year in respect of which prosecution has
\nbeen instituted on or before the date of filing of declaration;”<\/p>\n
Section 9(d): (d) to any person in respect of whom prosecution has been initiated by an
\nIncome-tax authority for any offence punishable under the provisions of the Indian
\nPenal Code or for the purpose of enforcement of any civil liability under any law for the
\ntime being in force, on or before the filing of the declaration or such person has been convicted of any such offence consequent to the prosecution initiated by an Incometax authority;”<\/p>\n
How to interpret both these clauses harmoniously, Kindly enlighten us.<\/p>\n
Thank You So much<\/p>\n","protected":false},"excerpt":{"rendered":"
Before asking the question, let me thank all the expert here as You all are doing great job. My questions are as under: 1) one of the condition for exclusion as per section 9(a)(iii) is “relating to any undisclosed income from a source located outside India or undisclosed asset located outside India” Now if a private limited company has received share capital from a party based in country out side India. Such share capital has been added u\/s 68 of the Act as income of the assessee vide order passed u\/s 143(3). Can department say that such share capital is undisclosed income of the assessee from the country outside India; hence, not eligible for the VSV scheme. 2) For exclusion from the sheme there are two instances given for prosecution “instituted” and prosecution “Initiated” which are reproduced below: Section 9(a)(ii): “relating to an assessment year in respect of which prosecution has been instituted on or before the date of filing of declaration;” Section 9(d): (d) to any person in respect of whom prosecution has been initiated by an Income-tax authority for any offence punishable under the provisions of the Indian Penal Code or for the purpose of enforcement of any civil liability under any law for the time being in force, on or before the filing of the declaration or such person has been convicted of any such offence consequent to the prosecution initiated by an Incometax authority;” How to interpret both these clauses harmoniously, Kindly enlighten us. Thank You So much<\/p>\n